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Resolution to Not Exempt Certain Rental Properties From Ad Valorem Taxes if Such Properties Meet Criteria Under Section 196.1978(3) (d)1.a, Florida Statutes a/k/a Live Local Act Property Exemption Effective January 1, 2026
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BRIEF OVERVIEW
Hernando County renews its concerns with Section 196.178(3), Florida Statutes (the Live Local Act Property Tax Exemption), which requires the Hernando County Property Appraiser to exempt certain rental properties from ad valorem taxes if such properties meet the criteria of the Live Local Act Property Tax Exemption known as the Multifamily Middle Market (MMM) Property Tax Exemption.
The 2024 Florida Legislature adopted a change to the Live Local Act Property Tax Exemption, which beginning with the 2025 tax roll, allows taxing authorities to annually "opt out" of providing the exemption if the following applies:
a) Residents in multifamily projects whose annual household income is between 80% and 120% of the median annual adjusted gross income, and
b) The latest Shimberg Center for Housing Studies Annual Report prepared pursuant to Section 420.6075, Florida Statutes identifies that the number of affordable and available units in the Metropolitan Statistical Area (MSA) or region is greater than the number of renter households in the MSA or region for natural person or families who meet the income criteria for 80% to 120% Area Median Income (AMI) Tax Exemption.
The latest 2024 Shimberg Annual Report identifies a surplus of affordable and available units in the Tampa-St. Petersburg-Clearwater MSA, in which Hernando County is located, for those households that meet the income criteria for 80% AMI to 120% AMI Tax Exemption.
A copy of the 2024 Shimberg Annual report is attached showing Hernando County qualifies to opt out of the 80 to 120 AMI Tax Exemption for tax year 2026.
The adoption of the resolution requires 2/3 or greater vote of the governing board.
FINANCIAL IMPACT
None.
LEGAL NOTE
The Board ha...
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